Somali Shilling

Overview

The Somalia Shilling has been the official currency of Somalia since 1962. Somalia was previously referred to as the Somalia Democratic Republic. The country is situated in the horn of Africa and was barely recognized by other countries. The currency symbol is Sh.So. The currency has been listed as one of the world’s worst currencies, with an incredibly high exchange rate against the US Dollar.

Economy

• The economy of Somalia was extremely hampered by the civil war and the action of government officials in the 1990s, when Mahammad Said Barred was in power.
• Agriculture and manufacturing contribute a great deal to the Somalian economy. Agricultural produce like maize, bananas, sugar, and seafood account for millions of dollars each year. Products such as pasta, plastic bags, soap, fabric aluminum are manufactured for local use as well as for export.
• Residents and small businesses rear large numbers of sheep, goats, and cattle. Camels are also reared in areas where the environment is suitable.
• Telecommunication is also a major contributor to economic growth in the region. Efficient and effective services are offered at low cost.

History

• In 1921, the Shilling was made the official currency of Somalia.
• In 1962, banknotes were distributed in denominations of 100 shillings, 20 shillings, 10 shillings, and 5 shillings.
• In 1967, new coins were distributed with values of 50 cents, 10 cents, 5 cents, and 1 Somali shilling.
• As a result of rising inflation, advanced additional Shilling notes were issued in denominations of 500 and 100 shilling banknotes.
• Due to civil unrest in the country, new Shillings were issued that were equivalent to 100 of the previous Shillings.